9 Qualities of a Perfect Small Business

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If you plan to start a small business growing plants, what qualities should the business have that...

If you plan to start a small business growing plants, what qualities
should the business have that make it more likely to be successful,
profitable and make you happy to go to work each day? Here are nine that
have been proven to work by thousands of successful small business
owners.

1.The business can be home based.

Operating a small
business out of your home can be a real time and money saver. Without a
commute, vehicle operating costs are reduced and commuting time is less
than a minute to your home office or shop. In addition, there is no
store, office or shop rent to pay, along with the extra cost of
utilities and maintenance. Start up costs are reduced by working out of
your home as well, allowing you to conserve funds for other business
expenses.Recommended: 3 Basics of Successful Business Development

2.The business is about something you enjoy.

Almost
all successful business owners love what they do. As Groucho Marx once
said, “Find something you love to do so much, you’ll do it for nothing.
Then do it so well, people will pay you to do it.” The old adage “Do
what you love and the money will follow” really is true, so take a
serious look at any new business idea to make sure it is work you will
enjoy. If you do, you’re almost sure to succeed, both in profits and
personal satisfaction.Also read: 10 Ways to Improve Your Small Business Operations

3.The business is different than the competition.

What can you do to set your business apart from your other similar
businesses in your area or field? Can you offer more choices that make
your customers choose you? A flower grower, for example, can offer
larger cut flower bouquets. Growers of almost any specialty crop can
focus on hard-to-find varieties.Also read: How to Make Your Business Sound Unique (Even If it's Not)

4.The business has multiple customers, not just a few.

Whatever your choice of business products or services, aim for a broad
customer base instead of just one or a few. That will protect you in
case your largest customer dumps you unexpectedly. A friend whose
specialty was writing grant proposals for a large school district lost
two thirds of his income when they turned to another provider. Lesson
learned: Many customers mean you are in charge, not the customer!

5.The business has several income streams, not just one.

Your local car dealer is a good example, as they get a big chunk of
their income from service and repair work, as well as car sales. Growers
can provide a variety of plants, such as ornamental grasses, herbs and
greenhouse tomatoes. Your imagination is the only limit here.

6.Customers pay for the products or services immediately.

There is nothing quite like approaching the end of the month with
business bills to pay and nothing but a stack of accounts receivable to
offset them! Find a small business that offers immediate cash. Growers
should always sell some of their plants to retail customers, who pay
now, as opposed to wholesale buyers, who may take 60 days to pay that
invoice for your plants.

If you sell a product, try to structure the business in such a way
that you get paid when you deliver the product. Selling at a Saturday
market is a good example of this. A friend who sells potted herbs at the
Farmer’s market takes only cash. Her herbs cost $6 or so, and a $2,000
cash-in-hand Saturday is commonplace. Her biggest complaint: Those
customers who spend $6 and hand her a $100 dollar bill in payment.Also read: If You Have Home Business, Learn How to Be More Productive

7.The business has low start-up costs.

Most of us
don’t qualify for a government grant or have a rich uncle. That’s why it
is important to make sure that any small business opportunity has
affordable startup costs. Don’t make the mistake of singing up for an
expensive franchise and shackle yourself with high monthly payments you
may have trouble repaying while you’re growing the business. Starting a
plant growing business can be scaled to the amount of money you have to
get started, whether it’s $500 or $5,000.Also read: 8 Small Business Lessons I Learned the Hard Way in 2016

8.The business earns repeat income.

Can your small
business supply you with regular repeat income? Many businesses sell a
product or service that the customer only needs once, like a sauna or
roofing. After the sale, it’s off to find the next customer. That can
get expensive. A better business model focuses on repeat customers so
the marketing costs are low. Plant sales are a good example, as
customers keep coming back year after year if you treat them well.Also read: 25 Profitable Business You Can Start Without Too Much Difficulty

9.The business does not depend too much on employees.

Finding good employees and keeping them happy and productive is one of
the biggest challenges facing small business owners. Instead, think
about keeping your business small enough that you can handle it all
yourself. The time you won’t have to devote to managerial and
administrative overhead will be yours to do with as you please, so enjoy
those extra hours doing something you love.

A small business does not need to have all the listed qualities to
succeed. The more desirable qualities a small business has, the more
likely it is to be a satisfying, profitable and long-lasting business
for you. In the book “The Millionaire Next Door”, the authors point out
that many of the millionaires they interviewed owned a small business
that had many of these ten qualities. Add the ability to live “below
your income” so you can save and invest the difference, and you too
could be on your way to your first million.

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